Financial Planning: The Essentials To Hiring A CPA

July 30th, 2013 by

You don’t have to own a small business to have complicated finances to keep track of. Unless you keep organized and systematic records, making financial planning decisions or finding the most beneficial deductions on your taxes can be quite a hassle. Thankfully during those tough times, you don’t have to navigate the hostile environment of the financial world on your own. By hiring a CPA  to help with your small business, or personal financial needs, you can relieve quite a bit of the pressure you may feel when trying to plan for your financial future.

 

Why Do I Need A CPA?

 

A CPA (Certified Public Accountant) can fill a number of roles for both business needs and an individuals’ needs. Depending on your specific questions, a CPA can be a financial planner, a management consultant, a management information specialist, a business consultant or he can fill any number of other roles regarding your financial stability now and in the future. CPA’s are no longer simply “number crunchers” or “tax preparers.” The responsibilities and abilities of CPA’s have expanded to include business and financial strategizing. A CPA can help you realize your financial goals by building a viable plan with you to save money or by advising you on how to invest wisely. Due to the stringent standards and certifications that a CPA must complete in order to be awarded this distinction they are much more qualified to make informed financial decisions about your future than a bookkeeper would be.

 

What Services Can They Offer?

 

After you hire a CPA, they will provide your personal finances or your business finances with consistent and stable support year round. Because CPA’s are responsible for so many other duties than just taxes, they are available year round to answer tax questions, offer tax help, or any audit help you may need on top of other critical financial planning services. Included in that, a CPA will retain your tax information much in the same manner that a doctor will file your medical records. When you go into a doctor’s office they don’t start your medical history over each time you visit, and the same principle applies when working with a CPA. This benefits you in the long run by insuring that you have complete and organized financial records.

 

How Can I Get The Most Out Of My CPA’s Services?

 

Keep in mind that when you are working with your accountant there are variety of things you can do to make sure that you’re getting the most out of their time and your time. Before even calling a CPA, take a moment to consider goals that you would like to reach and how you would like your CPA to help you get there. Having a clear and attainable end point in mind will allow your CPA to understand your purpose and then craft a suitable plan for you to follow.

 

The first thing to remember when meeting with your new  accountant is to gather up all the necessary documents and information you think you may need him to look at. The list of useful documentation includes past tax returns, financial statements and investment documents. Something else to keep in mind for future meetings with your CPA is that in order to help you financially plan for your life, he needs to know about your life. Are you getting married? Divorced? Expecting a baby? Trying to save for your child’s education? All of these life experiences can have a major impact on your taxes, as well as on your financial plans. Keeping your CPA up to date on these, and other, occurrences can help him adjust your financial plans to meet your goals.

 

Working with a CPA has its perks. Besides saving you money on your taxes in the short term, proper financial planning and strategizing can will help you to reach your future goals and maintain your financial success.